NIT League applauds captive shipper decisions

Monday, July 30, 2012

The U.S. Surface Transportation Board said last week that it has begun two initiatives to explore ways to further protect so-called captive shippers who are served by a single railroad from unreasonable rail rates. The STB proposes to reform its rules on how it resolves rate disputes to ensure that all captive shippers have a meaningful way to challenge rates and, secondly, taking steps to consider a proposal submitted by the National Industrial Transportation League to increase rail-to-rail competition. The STB said the centerpiece of its rate rules proposal removes the limitation on relief for cases brought under the "Simplified-Stand Alone Cost" alternative. It noted that captive shippers have long stated that ...